Oct 9 bond auction: Centre raises ₹36,000 crore at 7.49% (15 yr) and 7.80% (50 yr)
The government raised the full ₹36,000 crore. It will pay about 7.5% a year to borrow for 15 years and about 7.8% for 50 years. No dealer had to step in.
Official title: Government Stock - Auction Results: Cut-off · Press Release 2026-2027/1296
What happened
The October 9, 2026 auction raised the whole ₹36,000 crore the government sought. The cut-off yield on the 7.06% bond due 2041 (₹23,000 crore) was 7.4898%. On the 7.43% bond due 2076 (₹13,000 crore) it was 7.8015%.
In plain terms the government will pay about 7.5% a year to borrow for 15 years and about 7.8% a year to borrow for 50. Primary Dealers did not have to buy any unsold bonds (devolvement nil). Routine.
What it means for you
Long-term government bond yields influence home loan and other long-term rates over time. If you want to lend to the government yourself, individuals can bid in these auctions through the RBI Retail Direct portal.
What it means for businesses
Companies and banks watch these yields as the base for long-term borrowing costs.
Read the original
Press release on rbi.org.in ↗ Official PDF ↗
This explainer simplifies the official text. If anything here differs from the RBI's release, the release is right.